Does Dartmouth employ sound investment strategies? How does Dartmouth’s endowment loss compare with that of peer institutions?
February 17, 2009 The Investment Committee of the Board of Trustees and Dartmouth’s Investment Office work together to monitor the endowment portfolio and dynamic market conditions. Dartmouth’s investment strategy is big-picture, with a very long-term investment horizon. The endowment is a perpetual-investing vehicle designed to survive and thrive through various market cycles. The intent is to outperform benchmarks set for each asset class. This style of investing has served Dartmouth very well over the long term. However, due to the global economic crisis, nearly every asset class has been affected, from mortgage-backed securities and corporate bonds to public equities and private equities. Despite the 18 percent loss reported for the first half of fiscal 2009, Dartmouth’s return compares favorably with a national average loss of 23% for college and university endowments, as reported by the National Association of College and University Business Officers (NACUBO).
